Blocko Will Create a Credit System with Samsung

David Kemp

The investigation division of the Saudi Arabian Islamic Development Bank group plans to generate an intelligent blockchain-based credit managing system.

To realize this, the IRTI -Islamic Research & Training Institute has teamed up with the digital ledger provider, which is Samsung-supported Blocko. The conglomerate is part of the local consortium the E24P created by Blocko in April in Africa, Southeast Asia, as well as the Middle East.

Restriction of financial and technical problems

According to forecasts, the Islamic Finance sphere will by 2022 develop from 2 trillion levels to 3.78 trillion dollars. CEO of IRTI, Dr. Sami al Suweilem, currently experiences numerous monetary and mechanical problems, which "hinder the industry’s prosperity."

Contrasting customary commercial establishments, Islamic financial institutions do not set interest charges on credits, so do not penalize loan debtors. They are more likely to charge a later fee, which allegedly contributed to charity.

Nonetheless, this tactic is not deprived of complications, as it eradicates the necessity for defaulters to repay their credits. Besides, such financial institutions also undergo hitches in allocating overdue commissions to charity efficiently.

An intelligent credit regulation scheme being established byE24P with IRTI, which will be constructed on a mix Aergo blockchain is predicted to create an incentive appliance that will support timely payments. This will as well mechanically donate charges to insurance pools that comprise credit payments.

A more secure and transparent credit scheme

The digital ledger -focused lending system is assumed to aid Islamic banks, as well as other monetary establishments, perform credit calculations more transparently and securely, without no compromising the confidentiality of the engaged parties.E24P CEO Phil Zamani noted the mechanism would serve banks in "providing an exclusive solution that can place an important influence on the Islamic Financial sphere."

This can decrease costs further along with functional complications by comprising other limited funding operations, like loan rating, credit history, credit insurance, and credit reporting.

Blockchain launch of Blocko supported by Samsung raised 6.6 million Euros – Cryptonaute

In a B+ series backing round, a new South Korean start-up Blocko raised funds amounting to 9 billion won, around 6.6 million Euros by September 2019.

Created in 2014 in South Korea,Blocko developed blockchain infrastructure for businesses, banks, and government agencies. The Startup offered a ledger solution called Argo enterprise and was presented in spring 2019.

Blocko had already collaborated with Korean Bank, the South Korean Institute of telecommunications and electronics investigation, the Hyundai group, or the Shinhan Bank monetary institution, which is also part of the investors in this up-to-date funding round.

There was the involvement of another large local Bank as well, KEB Hana Bank along with foremost South Korean corporations LB Investment (formerly Nexon) and Big Hit Entertainment.

"We are working on numerous blockchain-related solutions, which may be utilized in the smart grids field. It has been problematic to apply operational business models with the prevailing infrastructure there," stated by CEO of Blockco Kim Won-Beom.

After this latest fundraising, Blocko, which already attracted the Samsung group and partnered with its subsidiary Samsung SDS, had raised a total of about 20 million euros by the end of 2019.